Thread by @varinder_bansal

Few of my learnings as an investor in 2022. A thread. 🧵

1) Investing is simple but not easy. It is very hard to become a long-term investor. Sometimes, it can be a lonely road especially when your hypothesis gets tested again and again

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2)Watching the screen and trying to assess daily moves can be hugely unproductive if you are a long-term investor. Lot of people sell great businesses looking at the screen

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3)Don’t try to do all – multitasking does not work in stock markets. Focus on your personal strength. Either be a good fundamental or technical or algo trader but don’t try to be everything

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4)You don’t buy a stock, but the stock buys you. Your choice of stocks depends on your personality traits. There is a reason that someone will like SBI or UBI or BOI in the same sector

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5)You will not own everything & will never be 100% correct. Prashant Jain invested in 465 stocks – and 1 in 4 resulted in loss. ONLY 55 stocks accounted for gain of 74,000 cr (85% of total). You will never be 100% correct – don’t beat yourself

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6)Trading is fun but not for everyone – very few have discipline to take losses and cut positions. Speculation requires a human quality of accepting defeat & booking losses sooner than later

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7)Beauty of LONG UPCYCLES that people forget rationality & beauty of LONG DOWNCYCLE is that people forget growth

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8)Sometimes cheap can be very expensive

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9)Risk management via right allocation is more important than picking the right stock, which is generally ignored by lot of retail investors

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10)Only research & deep research can help anyone to hold great businesses in the long term. Maintaining discipline in the rising markets is the hardest thing

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11)Boring is good for investment, may not give you adrenaline rush and quick money. NO one wants to become rich slowly

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12) One can borrow stock ideas but not conviction. We always lose money is kachra or hearsay stocks with no research but noise - good businesses always make money. The agony & financial pain of a wrong investment can be far higher than the joy of a successful one

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13) Your belief in the country’s growth should not change looking at SGX Nifty

END - Thanks for reading. Wishing you & your dear family a great 2023 and many more years to come.